Maharashtra Labour Welfare Fund: Applicability, Contribution, Rules, Benefits

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Published: October 17, 2025 Last modified: October 29, 2025 10 min read

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The Maharashtra Labour Welfare Fund was established under the Maharashtra Labour Welfare Fund Act of 1953. The fund provides multiple socio-economic benefits, such as educational, financial, and medical aid to employees and their dependents. The Maharashtra LWF Act requires employees and employers to contribute a specified amount. This makes it important from a compliance perspective.

The Maharashtra Labour Welfare Fund board manages this fund. The procedures for collecting and managing funds are covered in the Maharashtra Labour Welfare Fund Rules 1953. Lastly, employers need to register with the Maharashtra LWF board to submit contributions and offer benefits to their employees.

What is the Maharashtra Labour Welfare Fund?

The Maharashtra Labour Welfare Fund is a statutory fund established by the state government to improve the living and working conditions of employees in the state.

The act also details applicability criteria and lists the procedures for governing the Maharashtra Labour Welfare Fund Board. The board manages the collection and implementation of the fund and assists employees and their dependents when needed. Lastly, section 19 of the act empowers the government to make rules for operationalizing this fund.

Sr. No.	Particulars	Key Information
1	Governing Act	The Maharashtra Labour Welfare Fund Act.
2	Rule	The Maharashtra Labour Welfare Fund Rules, 1953
3	Effective Date	17 June 1953
4	Contribution Rate	Section 6BB Employee: ₹25/- Employer: ₹75/-
5	Contribution Period	Half Yearly
6	Deduction Date	First Half year: 30th June, Second Half Year: 31st December
7	Due Date	Section 6BB – First Half year (Jan to June): 15 July, Second Half Year (July to Dec): 15 Jan
8	Website	https://mahakamgar.maharashtra.gov.in/index.htm

The Maharashtra Labour Welfare Fund Rules 1953

The Maharashtra Labour Welfare Fund Rules 1953 list several key criteria and functions, including applicability, modes of payment, maintenance of accounts, and publication of annual reports. Here are some key rules along with their corresponding functions:

Definition and applicability: Rule 2 defines the terms employer, employee, and establishment and subsequently specifies the applicability criteria.
Payment of fines and accumulation: Rule 3 mandates that employers pay all the penalties realized from the employers to the welfare commissioner.
Maintenance and audit of accounts: Rule 5 requires the board to maintain accounts and conduct audits.
Budget and expenditure of the board: Rules 6 and 7 specify the procedures for submitting budget and expenditure statements to the government.
Application for grant from fund: Rule 8 provides for employers to apply for grants in accordance with section 7(3)
Mode of payment: Rule 9 mandates that payments up to ₹50 be made in cash. Payments exceeding ₹50 must be made by cheque issued by the welfare commissioner.
Publication of annual report: Rule 20 requires the board to publish annual reports within 3 months of the close of each financial year.

Maharashtra Labour Welfare Fund Applicability

There are two provisions that define Maharashtra LWF’s applicability:

Section 2 of the Maharashtra LWF Act,
Rule two of the Maharashtra Labour Welfare Rules.

As per these provisions, the act applies to:

Establishments covered under the Factories Act, 1948 (factories).
A tramway or other transport services under the Motor Transport Employees Act 1961.
An establishment under The Bombay Shops And Establishments Act 1948.
However, the act does not apply to managerial employees and supervisory employees earning more than ₹3,500 per month.
Employees employed under the Apprentice Act, 1961, are also excluded from the coverage.

Maharashtra LWF Contribution

As per Section 6BB of the Maharashtra Labour Welfare Fund Act, 1953 (which was recently amended in March 2024):

Employers and employees must pay contributions semi-annually. The current rates are ₹25 for the employee and ₹75 for the employer (three times the employee’s contribution), totaling ₹100 every six months. Contributions are due twice a year by July 15 and January 15, corresponding to the period ending on June 30 and December 31, respectively. The fund’s income also includes fines, unpaid accumulations, and interest.

Maharashtra Labour Welfare Fund Contribution Details
Month	Contribution Amount		Due Date
Month	Employee (INR)	Employer (INR)	Due Date
30 June (Half-Yearly)	₹25	₹75	15 July
31 December (Half-Yearly)	₹25	₹175	15 Jan

Maharashtra Labour Welfare Fund Benefits and Welfare Schemes

The Maharashtra government provides a range of educational, vocational, financial, and other benefits through the Labour Welfare Fund. Some notable benefits include:

Educational scholarships and subsidies, including scholarships (₹2,000-₹5,000) for school to degree.
Financing and career guidance for civil services and other competitive examinations.
Free skills training, including lessons in languages such as French, German, Japanese, Russian, and Chinese.
Sports scholarship ranging from ₹2,000 to ₹15,000
Scholarship of up to ₹50,000 for pursuing education abroad
Financial assistance of ₹1,00,000 to the wife of a worker who has committed suicide due to financial reasons.
Assistance of up to ₹10,000 for persons who become disabled while traveling.
Aid of ₹5,000 to ₹25,000 to workers for the treatment of chronic diseases.

How to Register for the Maharashtra Labour Welfare Fund?

There are two phases for registering with the Maharashtra LWF board. In the first phase, employers need to provide their personal details. In the second phase, they need to provide details related to their establishment. We have compiled two tables from the MLWB user manual that provide all the details about Maharashtra LWF registration.

Phase One: Employer Registration

Step	Action Required	Details & Outcome
1. PAN Validation	Enter the Employer PAN.	The system validates the PAN; if available, this will automatically become the Username.
2. Detail Entry	Fill in mandatory personal details (), including first name* and last name (must match Income Tax Department records), gender, father’s name, date of birth, and address.	A password must be set for the account.
3. Verification & OTP	Enter the Captcha and click “Get OTP”	An Authorization OTP is sent via SMS to the mobile number, and an email link is sent for activation (must be clicked to enable application submission).
4. Finalize	Enter the received OTP, agree to the statutory declaration, and click “Register Me”	Outcome: The Employer account is created, and the applicant can log in to proceed to Phase 2.

Phase Two: Establishment Registration

Step	Action Required	Details & Documents to be Provided
1. Establishment Data	Log in and fill in the establishment details form.	Provide the name of the establishment (as per PAN), the contact person’s mobile number, class of establishment, and sector of Establishment (selected from drop-down menus).
2. License Details	Enter the details of existing regulatory licenses.	Provide the registration number and date of at least one mandatory license (e.g., Shop & Establishment, Udyam/MSME registration).
3. Employment Details	Provide employee count information.	Provide the number of employees as of the application date.
4. Document Upload	Upload required supporting documents.	Upload a scanned copy of the employment detail and at least one license proof document (e.g., Sales Tax Act License) in PDF format.
5. Final Submission	Click “Final Submit” on the application form.	The application is submitted for verification by the MLWB.
6. Certificate Download	Upon successful verification and approval.	The registration certificate can be downloaded from the establishment login portal via the view archive section.

FAQs

What is the Maharashtra Labour Welfare Fund (LWF)?

The Maharashtra Labour Welfare Fund (LWF) is a pool of funds collected by the state government to provide socio-economic benefits to employees and their dependents in Maharashtra.

What Can Employers do to Contribute to the Maharashtra LWF?

Employers need to submit employee and employer contributions to the MLWB for contributing to the Maharashtra LWF.

What Benefits do Employees Get under the Maharashtra Labour Welfare Fund?

Employees get many benefits under this fund, including scholarships for education and sports, financial assistance for treating chronic diseases, and skills training in foreign languages, among others.

Why Should Employers and Employees Contribute to the Maharashtra LWF?

Contributing to the Maharashtra LWF is mandatory under the Maharashtra Labour Welfare Fund Act. Namely, section 6 BB mandates that employees and employers contribute to the fund. Rule 3B of the Maharashtra WLF rules also requires employers to submit a statement of contribution by 31st July and 31st January, respectively.

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